The U.S. government has completed a comprehensive regulation designed to limit foreign access to significant bulk data belonging to Americans, following a **February 2024 Executive Order** from President Joe Biden. This regulation establishes a national security initiative within the U.S. Department of Justice, dedicated to safeguarding against the transfer and potential misuse of bulk personal data and specific government-related information by foreign actors.
The regulation predominantly focuses on “countries of concern,” including China (Hong Kong and Macau), Cuba, Iran, North Korea, Russia, and Venezuela. Its intent is to mitigate these nations’ capacity to exploit bulk data for activities such as cyber espionage, influence operations, and constructing detailed profiles of U.S. citizens for social engineering or identity theft.
### Major Data Prohibitions
The regulation bans the transfer of particular types of sensitive information, such as personal identifiers, biometric data like facial recognition and voice prints, along with exact geolocation information. It further categorizes data exchanges into prohibited, restricted, and exempt categories, regardless of whether they occur through direct purchase or other commercial avenues.
The Justice Department indicated that such information could be misused by hostile nations to watch activists, academics, journalists, dissidents, political rivals, and marginalized groups. This kind of exploitation could result in intimidation, erosion of civil liberties, and the development of sophisticated artificial intelligence systems and algorithms that pose considerable national security challenges.
### Expanded U.S. Initiatives on Data Privacy
The Biden administration has been bolstering initiatives to regulate the international flow of sensitive data pertaining to Americans. For example, the administration’s efforts to ban TikTok, requiring the platform to cut connections with its China-based parent company over national security issues, is currently pending review by the Supreme Court. Oral arguments are set for January 10, and President-elect Donald Trump has recently adjusted his position regarding the app’s ban.
In another related action, the Consumer Financial Protection Bureau (CFPB) proposed new regulations in December aimed at limiting the capacity of data brokers to sell individuals’ personal and financial information. These regulations would impose the same regulatory guidelines on data brokers as those governing credit bureaus and background check firms.
### Escalating Cybersecurity Risks
The newly established restrictions by the Justice Department arise in light of several notable cyber espionage events. Recently, hackers supported by China breached the U.S. Treasury, evading internal security protocols to access unclassified materials. This breach followed a series of cyberattacks directed at personal data held by major telecommunications firms. One such network, dubbed **Salt Typhoon**, has ties to China.
As the U.S. intensifies its regulatory initiatives, these actions underscore a heightened commitment to protecting Americans’ sensitive data from foreign exploitation, ensuring national security, and upholding civil liberties.